US DOE to Loan West Virginia Utilities $1.44B to Extend Life of 6 High-Cost Coal Plants

West Virginians Will Foot the Bill for Short-Sighted Projects with Big Health Consequences

November 20, 2025

CHARLESTON, West Virginia — The U.S. Department of Energy (DOE) has committed to loaning West Virginia’s utility companies $1.44 billion to fund projects to refurbish six of the state’s coal-fired power plants, extending their lives by up to 20 years. Regardless of how long the refurbished coal plants manage to stay online, payments on the low-interest DOE loans will be passed on to West Virginian’s electric bills for decades.

In addition to funding the projects, West Virginians will also share in the public health impacts. According to a Sierra Club study, West Virginia’s in-state coal plants currently account for hundreds of expensive hospital visits and 20 West Virginian deaths annually. West Virginia’s coal plants also account for 335 out-of-state deaths annually.

Governor Patrick Morrisey announced the $1.44 billion in coal refurbishment projects as part of a larger $4.2 billion suite of other fossil-fuel expansions, including plans to construct two new gas power plants and further build out two of the state’s existing gas facilities.

West Virginians are tired of electric rate increases and are pushing back.

“Our state leaders continue to keep ratepayers stuck, tossing billion dollar lifelines to the sinking coal industry,” said Jim Kotcon, Chair of the WV Chapter of Sierra Club. “Every dollar Governor Morrisey and DOE say is being ‘invested’ in coal means decades of higher energy bills and difficult financial decisions for our state’s families.”

“Most of these plants operate less than half the time, because they simply cannot compete with lower-cost sources,” added Kotcon. “We need to transition our electric utilities and should be investing in the cheapest, fastest, cleanest and safest sources of electricity. That is not coal.”

About the Sierra Club

The Sierra Club is America’s largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person’s right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.